coming full-circle: the store as the center of the omnichannel shopping journey
DESCRIPTION
A brand can travel with a shopper wherever she roams, from the couch to the car and into the mall. But it is the store that remains the most important part of her shopping journey. Today's smart retailers are embracing that journey by re-imaging their stores as a physical expression of their brand and the center of the omnichannel shopping journey by providing solutions and services that delight shoppers from the minute they enter the store through checkout and beyond. This optimum experience can be facilitated through key strategies and solutions, around assisted selling in the store, omnichannel fulfillment and social monitoring following the transaction, encouraging the customer to visit the store more and more. The experience may look something like this: Karen sees a special online and sets up an appointment to go to the store. At the store she is greeted by her personal shopper, who shows Karen the blouse she has chosen, but also presents accessories and shoes. Karen is delighted with the personalized service and easy shopping experience. The purchase, including upsell, is completed on the spot with mobile point of sales capabilities. But that's not the end of the story. After the sale, Karen receives special offers from the store, for herself and friends. They all return for more shopping…and live happily ever after.TRANSCRIPT
Coming Full-‐Circle: The Store As The Center Of The
Omnichannel Shopping Journey
Presented by Session sponsored by
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ü 5 Webinars, 4 Days
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Panelists
Alicia Fiorletta Senior Editor
Retail TouchPoints
MODERATOR
Pam Goodfellow Principal Analyst, Consumer
Insights Director Prosper Insights & Analytics
Randy Misener Director, Retail Industry Business
Development Avanade
David Vitak Global Business Solutions
Avanade
© 2013, Prosper® www.ProsperDiscovery.com
Pam Goodfellow Principal Analyst
Consumer Insights Director Prosper Insights & Analytics
December 11, 2013
Omnichannel Engagement: Connecting With Consumers Instore
In An Increasingly Digital World
© 2013, Prosper® www.ProsperDiscovery.com
ABOUT PROSPER
Prosper Insights & Analytics™ • Provides forward looking insights and analytics
predictive of consumer behaviors • InsightCenter platform analyzes millions of data points
including our own • 10 Year Relationship with the National Retail Federation
– Providing predictive consumer data and analysis for all major U.S. holidays
– Power the NRFF Retail InsightCenter, which allows the public to explore and gather retail data
Since 1990, Prosper Business Development • Has helped business see the future • Provided solutions to be successful in an ever-
changing marketplace
© 2013, Prosper® www.ProsperDiscovery.com
Connecting With Consumers Instore In An Increasingly Digital World
What’s Driving Spending Today?
Consumer overview with a look a key indicators, including confidence and
practical purchase intentions.
Connecting with Consumers Instore
Holiday 2013 highlights, revealing spending plans, purchase motivations,
and shopping strategies.
Know Your Customers
Know Your Competitors’ Customers
Service, Service, Service
© 2013, Prosper® www.ProsperDiscovery.com
CONSUMER CONFIDENCE
39.7%
28.3%
36.4%
20%
25%
30%
35%
40%
45%
Very Confident/Confident in Chances for a Strong Economy Adults 18+
Thanks in large part to October’s government shutdown,
economic sentiment dropped dramatically in Oct-13.
Employment, Income Growth, Financial Stability, etc. continue
to take a toll on consumer psyche headed into the 2013
Holiday season.
Source: Prosper Insights & Analytics™
Current confidence reading rests 8% below Nov-12, but remains
above recession-era readings… so we’ve seen worse.
© 2013, Prosper® www.ProsperDiscovery.com
PRETTY PRACTICAL PURCHASERS In the last six months, have you made any of the following changes?
Adults 18+, 3 Month Moving Average
Source: Prosper Insights & Analytics™
30%
35%
40%
45%
50%
55%
60%
65%
No
v-07
M
ar
Jul
No
v-08
M
ar
Jul
No
v-09
M
ar
Jul
No
v-10
M
ar
Jul
No
v-11
M
ar
Jul
No
v-12
M
ar
Jul
No
v-13
I have become more practical and realistic in my purchases
I focus more on what I NEED rather than what I WANT
While practical spending and focus on needs peaked during
the recession, consumers still haven’t reverted to their old
habits.
As of November, more than half (52.6%) still focus more on what
they need rather than what I want when at the store, while
nearly as many (47.5%) cite pragmatic purchase plans.
Holiday 2013 buzzwords: cautious, conservative,
budget-conscious, and SALE!
© 2013, Prosper® www.ProsperDiscovery.com
Source: National Retail Federation, Prosper Insights & Analytics™
Holiday 2013 Planned Spending per Person* Gifts, Décor, Cards, Food & Flowers
$700
$735
$751 $755
$694
$682
$719
$741 $752
$738
$640
$660
$680
$700
$720
$740
$760
$780
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
* Estimated Actual Spending 2004 - 2012
While Holiday spending has improved from the recession…
SHOPPERS AREN’T SPENDING LIKE IT’S 2007.
DOWN 1.9%
from 2012
© 2013, Prosper® www.ProsperDiscovery.com
Where were Thanksgiving/Black Friday budgets spent? Black Friday Weekend Shoppers 18+
INSTORE’S VIRTUAL CHALLENGER
This year, 44% of Thanksgiving/Black
Friday weekend budgets were spent
ONLINE by shoppers, rising 63%
from 2007.
Source: National Retail Federation, Prosper Insights & Analytics™
73%
56%
27%
44%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
2006 2007 2008 2009 2010 2011 2012 2013
Instore Online
© 2013, Prosper® www.ProsperDiscovery.com
Which of these ways do you research the following items before purchasing? by Generation
DIGITAL CHANGING THE LANDSCAPE
BIG TICKET ELECTRONICS
Source: Prosper Insights & Analytics™
Millennials (1983 – 1995), Gen X (1965 – 1982), Boomers (1946 – 1964), Silent (born pre-1946)
0%
10%
20%
30%
40%
50%
60%
70%
In the store
Mobile device (Smartphone/tablet)
Online on a laptop/desktop computer
© 2013, Prosper® www.ProsperDiscovery.com
Which of these ways do you research the following items before purchasing? by Generation
DIGITAL CHANGING THE LANDSCAPE
0%
10%
20%
30%
40%
50%
60%
In the store
Mobile device (Smartphone/tablet)
Online on a laptop/desktop computer
APPAREL
Source: Prosper Insights & Analytics™
Millennials (1983 – 1995), Gen X (1965 – 1982), Boomers (1946 – 1964), Silent (born pre-1946)
© 2013, Prosper® www.ProsperDiscovery.com
How Can Instore Retailing Compete With
Digital?
© 2013, Prosper® www.ProsperDiscovery.com
Connecting With Consumers Instore In An Increasingly Digital World
Know Your Customers
Know Your Competitors’ Customers
Service, Service, Service
Solutions for Engaging Customers Instore
1
2
3
© 2013, Prosper® www.ProsperDiscovery.com
KNOW YOUR CUSTOMERS Influence to Purchase Apparel
weighted by consumption for shoppers of a leading U.S. department store
Traditional Media, 63%
Online Advertising,
20%
Mobile Advertising,
9%
Social Media, 8%
Source: Prosper® Media Plan IQ™
Goal: Maximize marketing efforts to reach shoppers most effectively to and drive traffic instore using exclusive promotions, merchandise, shopper services, etc.
© 2013, Prosper® www.ProsperDiscovery.com
KNOW YOUR COMPETITORS’ CUSTOMERS Influence to Purchase Apparel
weighted by consumption for shoppers of leading U.S. department stores
0% 15% 30% 45% 60% 75%
Traditional Media
Online Advertising
Mobile Advertising
Social Media
Department Store A Department Store B
Source: Prosper® Media Plan IQ™
© 2013, Prosper® www.ProsperDiscovery.com
KNOW YOUR COMPETITORS’ CUSTOMERS Mobile Aptitude Score
shoppers of leading U.S. department stores indexed to Adults 18+
Source: Prosper Insights & Analytics™
129.9
88.2
88.1
140.6
99.5
80.0 90.0 100.0 110.0 120.0 130.0 140.0 150.0
A
B
C
D
E
© 2013, Prosper® www.ProsperDiscovery.com
SERVICE, SERVICE, SERVICE
DID YOU FIND EVERYTHING OK?
© 2013, Prosper® www.ProsperDiscovery.com
CUSTOMER SERVICE PITFALLS 1. Uninvested Employees
2. Draining Atmosphere
3. Inconsistency
“Coworkers are very rude and standoff-ish to the customers. They act as if the customer inconveniences them even though it is their job to help the customers.”
“I told the cashier I couldn’t find what I needed in the store and she said ‘sorry about that’ and didn’t offer to help or anything at all.”
“I just don't feel good in that store.”
“[The] last time I was there..., I waited for help for over 20 minutes and then got a salesperson who knew nothing. The store was a disaster. The checkout lines were ridiculous. That was over 4 years ago, and I have not been back.”
“They have so many rules that keep changing and are so rigid, but then you get a different person and it’s a different policy. No continuity and when there is, it inconveniences the customer.”
“They do not seem to know what they are doing, especially when you order online and arrange for pick up in a store. I received different answers from everyone I called, and no one appeared to be interested in solving my problem.”
© 2013, Prosper® www.ProsperDiscovery.com
KEY TAKEAWAYS
Retailers need to provide clear, cohesive, consistent messaging to shoppers across all channels.
Shoppers are budget-conscious, careful spenders
• Today’s consumers have adopted smart shopping strategies to compare prices, look for the best deals, and become more informed shoppers – making it more difficult for retailers to cultivate a “loyal” shopper.
• Online and mobile connectivity have only enhanced shoppers’ ability to educate themselves on their purchases.
• Buying online offers today’s busy, multitasking, channel agnostic consumers time-saving convenience, creating a challenge for instore retailing.
• Knowing how to reach your customers and your competitors’ customers will help maximize efforts to drive shopper traffic into stores.
• Customer service practiced effectively helps a retailer provide that delightful instore shopping experience – a key point of differentiation that can increase the probability of a shopper’s return visit.
© 2013, Prosper® www.ProsperDiscovery.com
CONTACT
Pam Goodfellow Principal Analyst Consumer Insights Director Prosper Insights & Analytics [email protected] www.ProsperDiscovery.com
© Copyright 2013 Avanade Inc. All Rights Reserved.
26
Connected Retail Day-In-The-Life
© Copyright 2013 Avanade Inc. All Rights Reserved.
Your Speakers Today: David Vitak and Randy Misener From Avanade Avanade provides business technology solutions and managed services that connect insight, innovation and expertise in Microsoft technologies to help our customers realize results.
© Copyright 2013 Avanade Inc. All Rights Reserved.
Avanade Connected Retail
Avanade’s Connected Retail portfolio of solutions and services empowers your employees to deliver greater value and reinvents customer experiences to strengthen customer loyalty.
We leverage Microsoft technology and Accenture industry insights and leading practices to deliver innovative retail solutions rooted in real results.
:
Our solutions focus on five key retail business areas:
In-Store Experience
Omni-Channel Enablement
Digital Marketing
Data and Analytics
Customer Service and Collaboration
© Copyright 2013 Avanade Inc. All Rights Reserved.
How can we make the retail store more convenient and compelling for your customers?
>How can we integrate the store with other channels to provide
Consistent Engagement across channels?
>How can we deliver Expert Support to customers in store making their experience more convenient?
>How can we provide Personalized Attention making their experience more compelling?
>How can we drive Memorable Interactions that enrich the customer’s overall experience?
© Copyright 2013 Avanade Inc. All Rights Reserved.
30
Day-in-the-Life of Retail Customer Scenario:
A repeat customer starts shopping on-line but wants to continue her shopping journey in the store. How can we make her experience more compelling and convenient?
© Copyright 2013 Avanade Inc. All Rights Reserved.
E-COMMERCE WEBSITE Search Driven discovery and navigation engages the customer to do some research for a new phone
START
>Consistent Engagement CUSTOMER DOES RESEARCH ON-LINE
© Copyright 2013 Avanade Inc. All Rights Reserved.
REQUEST APPOINTMENT Customer completes an appointment request on-line to meet with an expert on smart phones in the store.
>Consistent Engagement CUSTOMER REQUESTS APPOINTMENT ON-LINE
© Copyright 2013 Avanade Inc. All Rights Reserved.
CUSTOMER RECEIVES EMAIL Customer receives the appointment request on-line and also receives an email confirmation.
>Consistent Engagement APPOINTMENT IS CONFIRMED VIA EMAIL
© Copyright 2013 Avanade Inc. All Rights Reserved.
34
>Consistent Engagement APPOINTMENT SET IN THE STORE
STORE INTEGRATION Store Associate is automatically notified of the appointment on his appointment dashboard of his Assisted Selling Tool.
Onto Personalized Attention & Expert Support in the Store
© Copyright 2013 Avanade Inc. All Rights Reserved.
ASSISTED SELLING DASHBOARD Sales Associate sees Sales Graphs, Tasks and News on the Dashboard to ready him for the day and for his appointments.
>Personalized Attention STORE ASSOCIATE PREPARES FOR WORKDAY
© Copyright 2013 Avanade Inc. All Rights Reserved.
>Personalized Attention ASSOCIATE PREPARES FOR APPOINTMENT
APPOINTMENT DETAILS Store Associate prepares for the appointment by reviewing customer’s information and status.
© Copyright 2013 Avanade Inc. All Rights Reserved.
37
>Personalized Attention ASSOCIATE MEETS THE CUSTOMER
APPOINTMENT DETAILS Store Associate access appointment details and reviews customer’s history and current need(s) with the customer.
© Copyright 2013 Avanade Inc. All Rights Reserved.
38
>Expert Support ASSOCIATE CONSULTS WITH CUSTOMER
FINDING THE RIGHT PROUCT Store Associate works with customer to find the right product by refining and searching for product selections by asking guided questions and setting filters.
© Copyright 2013 Avanade Inc. All Rights Reserved.
COMPARE PRODUCTS Sales Associate refines product selections by asking questions and setting filters.
>Expert Support ASSOCIATE CONSULTS WITH CUSTOMER
REVIEWING PRODUCT DETAIL
© Copyright 2013 Avanade Inc. All Rights Reserved.
COMPARE PRODUCTS Sales Associate refines product selections by asking questions and setting filters.
>Expert Support ASSOCIATE CONSULTS WITH CUSTOMER
REVIEWING PRODUCT DETAIL
© Copyright 2013 Avanade Inc. All Rights Reserved.
41
>Expert Support ASSOCIATE CONSULTS WITH CUSTOMER
PROVIDING HELPFUL INFO Store Associate has quick access to all the information needed to handle the customer’s questions:
• Chat– Talk to an expert • Inventory View – Stock positions at other
stores • Promotions – How can we make this
selection even more appealing? • Competition – Prices and offers of other
retailers • Save Materials – Email the customer the
rich media we reviewed
© Copyright 2013 Avanade Inc. All Rights Reserved.
42
>Expert Support ASSOCIATE COMPLETES SALE
CHECKOUT Store Associate completes the sale by either taking payment on the mobile device or sending the transaction to a traditional POS.
© Copyright 2013 Avanade Inc. All Rights Reserved.
IMPROVE SALES PROCESS Sales Associate completes some survey questions to capture details of the customer interaction.
>Expert Support GATHERING CUSTOMER FEEDBACK
© Copyright 2013 Avanade Inc. All Rights Reserved.
LONG LINE IN THE STORE Mobile POS lets customers orders to be entered while in line to speed up checkup using Line Busting.
FORGOT SOMETHING? Suspend the order to avoid having to repeat work and waste time while the customer goes and gets the missing items.
COMPLETE THE TRANSATION Accept Credit Cards and Capture Signatures on the mobile device. Or let the customer use their own mobile phone as a mWallet to make the payment using NFC technology.
>Memorable Interactions MAKING THE PURCHASE MORE CONVENIENT
© Copyright 2013 Avanade Inc. All Rights Reserved.
MOBILE RETAIL BACK OFFICE Joe, the assistant store manager, is walking around the store to complete his daily tasks list.
He uses his tablet to mark off completed activities, check inventory, take picture of issues that can prevent a positive customer experience.
>Memorable Interactions AND THE STORE MANAGER HAS A KEY ROLE!
MANAGER ACTIONS While looking at the store’s latest performance metrics, he is alerted that a quick price change is required. Immediately he accesses and specific menu option on his tablet to automatically change the price .
© Copyright 2013 Avanade Inc. All Rights Reserved.
What’s Next in Creating Memorable Interactions? Next-Generation Store Technology
© Copyright 2013 Avanade Inc. All Rights Reserved.
OUTSIDE TRADITION On arrival at the store, you see the retailer has their “best sellers” for sale in a vending machine just outside the store. Sounds interesting, but anyway, you decide to enter into the store.
INSIDE ACCESS You decided to use the kiosk or display at the store. • Identify yourself • Browse the catalog to create a
shopping list • Print out the coupons (for instance, if
you forgot your mobile device at home with your digital coupons)
• Make a product reservation • Make a purchase • Ask for personal assistant (OC) • Read other customer’s reviews
>Memorable Interactions & The Next Generation Store Kiosks and Displays
© Copyright 2013 Avanade Inc. All Rights Reserved.
48
GRAB & GO Scanning the QR Code from the Kiosk or the display you download the information to your phone including a map of the location of the item in the store.
>Memorable Interactions & The Next Generation Store Displays with Interactive Mobile Technology
© Copyright 2013 Avanade Inc. All Rights Reserved.
ATTRACTING INTEREST You walk by a store after hours and you see an interactive device on the window…
ENCOURAGING INTERACTION You start interacting just for fun and you find out that there some cool items in the store and you end-up finding the product of your wife’s dreams and scan the QR code to your phone to share later.
>Memorable Interactions & The Next Generation Store Displays with Motion Sensitive Technology
© Copyright 2013 Avanade Inc. All Rights Reserved.
NEXT GEN TECHNOLOGY & DIGITAL ASSETS Leverage digital assets with next-gen technology, such as RFID tags and Windows Embedded Devices, the Retailer creates new and memorable customer experience, such as a Connected Fitting Room, for real-time interactive information and support on garments in the fitting room.
>Memorable Interactions & The Next Generation Store In-Store Digital Showcasing
© Copyright 2013 Avanade Inc. All Rights Reserved.
51
These Next-generation store technology can give your customers want they want:
Consistent Engagement across channels
Expert Support making their purchase more convenient
Personalized Attention supporting their unique profile and needs
Memorable Interactions enriching their overall experience
To learn more about the Solutions discussed today:
Email [email protected]
More Modern More Mobile More Global Visit Booth # 2703 to learn more
Kick-off NRF in style by attending the Opening Night Reception at the Marriott Marquis Times Square Sunday Jan 12 5:30 – 7:30 pm
Follow all the action live on Twitter and Facebook @msretail FB.com/MicrosoftforRetail
BIG !deas Session: Become a Dynamic Retailer and Make Sure You’re Ready for What’s Next Monday Jan 13 3:15 – 4:15 pm
#RetailCCS
Help us Support RetailROI at NRF this year…
Schedule a meeBng with Avanade at NRF and aEend it, and Avanade will donate $25 to RetailROI. The Purpose of the Retail Orphan IniJaJve (RetailROI) is to raise awareness and provide real soluJons for the more than 400 million vulnerable children worldwide. Visit www.retailroi.org for more informaJon. To schedule a meeJng, send an email to [email protected] with the subject line NRF MeeJng or visit: h1p://www.avanade.com/advisor/NRF2014/Pages/naJonal-‐retail-‐federaJon.aspx to schedule on-‐line.
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Q &A // Panelists
Alicia Fiorletta Senior Editor
Retail TouchPoints
MODERATOR
Pam Goodfellow Principal Analyst, Consumer
Insights Director Prosper Insights & Analytics
Randy Misener Director, Retail Industry Business
Development Avanade
David Vitak Global Business Solutions
Avanade
#RetailCCS
Xbox One Giveaway
Enter to win an Xbox One by attending at least two sessions from this week’s webinar series!
*Visit the contest rules page for more information.
#CCSeries13
Thank You For Joining Us
www.retailtouchpoints.com/special-connected-consumer-series-2013
Delivering Omnichannel: From The Back-‐End To The Front-‐End and Beyond Tomorrow, 12 PM ET / 9 AM PT
The next Connected Consumer Series session…